The term “affordable” can have a different meaning for different people. In this outline, affordable refers to income-restricted housing, which is only available to households earning below a certain income. It is also sometimes referred to as “Capital A” affordable housing. An affordable unit is priced based on a percentage of median family income (MFI; defined below). Households at the target MFI level will pay rent that is equal to no more than 30 percent of their household income.

A density bonus program is one of the tools the City can use to create new affordable housing. These programs work by offering a developer certain benefits, usually the ability to build a taller building. In exchange, the developer provides a community benefit, most commonly in the form of affordable housing. In the state of Texas, cities are not allowed to use zoning to require that developers provide affordable housing. However, the City can offer voluntary bonus programs to developers and property owners who choose to provide affordable housing in their projects. 

A combining district works by "combining" with the existing zoning regulations on a given property. Combining districts can change or override certain zoning rules without changing the base zoning. 

Density bonus combining districts might allow additional building height, create changes to development rules, or allow additional uses in exchange for community benefits. Different density bonus programs have different requirements. 

CS - DBC15

In the example zoning string above, the property has a Commercial Services (CS) base zone, which has a maximum height of 60 feet. 

This property also includes a Citywide Density Bonus 15 (DBC15) combining district, allowing up to 15 feet of additional height in exchange for affordable housing. 

Not all affordable housing is the same—people at different income levels need different levels of affordability. To reflect this, affordability levels are categorized using a measure called Median Family Income (MFI). Median Family Income is used by the U.S. Department of Housing and Urban Development (HUD) to understand what a typical family earns in a specific geographic area.  

MFI focuses on the earnings based on the size of a household. The base MFI is set for a family of four ($134,400 in the Austin-Round Rock area for 2026) and then adjusted for different household sizes. These figures help determine income limits for affordable housing programs, ensuring that rent levels or home sales prices are aligned with what families at various income levels can afford. 
 
Below is a table showing different levels of housing affordability based on different sized households renting in the Austin-Round Rock area for 2026. You can learn more about income and rent limits for Austin’s affordable housing programs on the City's Income & Rent Limits page. 
 

Residential protections apply to existing multifamily projects that are being redeveloped on sites using specific density bonus programs. This includes properties zoned into the Density Bonus Equitable Transit Oriented Development (DBETOD), Citywide Density Bonus (DBC), Density Bonus 90 (DB90), or Downtown Density Bonus (DDB) combining districts. 

If you rent a property that is impacted by a redevelopment under the above density bonus programs, you are entitled by local ordinance to the Tenant/Renter Protections listed under the Residential Requirements tab. These include:   

• Notice and information about the proposed development 
• Relocation benefits, which include: 
  • A payment equal to four months of rent and fees 
  • A fixed payment to help with moving expenses, consistent with Federal requirements for relocation 
• An on-site relocation specialist, available after 5 p.m. and on weekends
• An option to terminate an existing lease without penalty 
• Guaranteed return of security deposit 
• An option to lease a new unit with a comparable number of bedrooms for at least 12 months upon the completion of the new development 

Don’t know your property’s zoning?   

You can run a Property Profile report by searching your property’s address. You can access the Property Profile tool and find more information about using the tool here: Property Profile Overview | Austin Development Services | AustinTexas.gov 

What other resources are available for tenants? 

If you live in a property that is impacted by a general redevelopment, and not by a redevelopment under a qualifying density bonus program, you still may be eligible for certain assistance. You can learn more about the City’s Tenant Relocation Assistance Program on this webpage.  

If you own a qualifying business in a property that is being redeveloped using the DBETOD density bonus program, you are entitled to the protections outlined on the Non-Residential Requirements tab. 

Don’t know your property’s zoning?  
You can run a Property Profile report by searching your property’s address. You can access the Property Profile tool and find more information about using the tool here: Property Profile Overview | Austin Development Services | AustinTexas.gov. 
 

If the property you are developing is in the Density Bonus Equitable Transit Oriented Development (DBETOD) combining district and you are participating in the DBETOD density bonus program, the residential and non-residential redevelopment requirements apply. 

If the property you are developing is in the Density Bonus 90 (DB90), Citywide Density Bonus (DBC), or Downtown Density Bonus (DDB) combining districts and you are participating in the combining district’s respective density bonus program, certain portions of the residential and non-residential redevelopment requirements apply.  

See the table on the Overview tab for the list of redevelopment requirements by density bonus program. 

For more specific details on redevelopment requirements, see the Density Bonus Certification Process tab. 

• September - November: Stakeholder discussions

• December 1 (tentative): Housing and Planning Committee 

• December 2026 (tentative): Report findings to Council  

February 2024 

• Tenant Protections in Chapter 4-18 Article 2 created and applied to Density Bonus 90 (DB90) through Ordinance No. 20240229-073. 

May 2024

• Unit Replacement Requirements and Non-Residential Redevelopment Requirements added to Chapter 4-18 Article 2 through Ordinance No. 20240516-001. 

• Tenant Protections, Unit Replacement Requirements, and Non-Residential Redevelopment Requirements applied to Density Bonus Equitable Transit-Oriented Development (DBETOD) through Ordinance No. 20240516-005. Program-specific eligibility criteria for Non-Residential Redevelopment Requirements also established. 

May 2026 

• Tenant Protections and Unit Replacement Requirements applied to Citywide Density Bonus Program through Ordinance No. 20260521-056.  

• Updates made to Chapter 4-18 Article 2 through Ordinance No. 20260521-036. These updates: 

• Clarified applicability to density bonus programs 

• Granted Austin Housing director certain authorities to better protect tenants 

• Added language to require an on-site professional relocation specialist during extended hours to support tenants of existing properties  

• City Council, through Resolution No. 20260521-080, directed staff to compile recommendations regarding updates to Chapter 4-18 Article 2.